A collection Agency is coming after my corporation. Can it ruin my personal credit?

Question

I have an incorporated business and I ran into problems with my advertising agency and refused to pay them in full amount. They have taken the case to a collection agency and the collection agency guys have been calling me.

The contract was signed under my company but I signed it since I am the president and only director of the company and 100% of the company.

The collection agency says they can ruin my credit as well. Is that true? Or only my company credit gets ruinmed?

Answer 1

Look at who just got indicted over the housing mortgage and loan fiasco which caused Bear-Sterns to fold their tent and go bankrupt. At least two of the executives are going to trial on criminal charges. So, I ask, what do YOU think? What has and is happening to THEIR credit? The answer is, since you say you are 100% of the company, YES, you can be held personally accountable since you are the owner and are authorized to place the company in debt. YES, your credit can be ruined as well as the company reputation. Time to fight the good fight and settle this before it goes too far and you DO end up ruined financially. If they failed to perform to the terms of a contract and you did not pay for services not rendered, then you have merit in the eyes of the court. However, it actually depends on the wording of the terms in the contract. Were there any penalties for non-performance? What were the terms which defined the conditions which had to be met to be in compliance as performance? Time to hire an attorney and get that contract analyzed (which you should have done BEFORE signing it) and see if they really DID perform. All we have is your word and your word is worth zero here as we have no way to determine if you are telling truth or lies.